Google has today announced an update to its AdWords terms & conditions which will see some lending products banned from being advertised on Google.
The new update will come into effect on July 13 this year, after which the Internet giant will ban payday loans and other financial “services” from its online channels. This will include loans with repayment dates that fall within 60 days of being issued, while loans with an annual percentage rate (APR) of 36 percent or more will also be phased out.
“When reviewing our policies, research has shown that these loans can result in unaffordable payment and high default rates for users so we will be updating our policies globally to reflect that,” said David Graff, director of global product policy at Google, in a blog post.
This won’t affect countless other loans that are advertised through Google, including Mortgages, student loans, car loans, and credit cards.
Google previously revealed that it blocked 780 million ads in 2105, up 50 percent on the year before, for a myriad of reasons from phishing scams to counterfeiting.
“When ads are good, they connect people to interesting, useful brands, businesses and products,” added Graff. “Unfortunately, not all ads are — some are for fake or harmful products, or seek to mislead users about the businesses they represent.”